The National Stock Exchange (NSE) is preparing to submit its Draft Red Herring Prospectus (DRHP) to SEBI between June 5-15, 2026, indicating accelerated progress in its long-awaited public listing process. The filing would mark a significant milestone in the exchange's IPO journey, which has faced nearly a decade of delays due to regulatory and legal issues, including matters linked to the co-location controversy. As per Fortune India, the NSE and its bankers have decided to go ahead with the DRHP filing by the end of the first week or in the early part of the second week of June, with the decision taken during the first joint meeting with all 20 appointed investment bankers last week. The exchange and advisors agreed to move ahead with the DRHP filing either by the end of the first week or early part of the second week of June, with the latest review meeting involving all appointed merchant bankers held last week.
In February 2026, NSE's board approved the plan to launch the IPO through an Offer for Sale (OFS) route, as reported by Fortune. This structure means the exchange itself will not issue fresh shares or raise new capital. Instead, existing shareholders will sell a portion of their holdings to the public during the IPO. The latest news suggests that market participants are expected to closely monitor the IPO structure, stake dilution by existing shareholders, and valuation metrics, given that NSE remains among India's most valuable unlisted entities. A successful filing could pave the way for one of India's most closely watched capital market events, potentially improving transparency, liquidity, and shareholder value creation.
The shareholding structure of NSE includes a mix of domestic financial institutions, insurance companies, foreign investors and individual stakeholders. Trading members and related entities hold around 35.51% stake in the exchange ahead of the proposed IPO. Among key Indian shareholders, Life Insurance Corporation of India owns approximately 10.7% stake in NSE, while other major domestic investors include Stock Holding Corporation of India Ltd. with 4.4%, SBI Capital Markets with 4.33%, and State Bank of India holding approximately 3.23%. Other notable domestic shareholders include GIC, New India Assurance, and National Insurance. The exchange is owned by a mix of domestic and global financial institutions, insurance companies, and individual investors, with no single shareholder holding a controlling stake.
Several foreign investors hold significant stakes in the exchange, including Aranda Investments, backed by Temasek, along with Canada Pension Plan Investment Board (CPPIB), Morgan Stanley's MS Strategic Mauritius, and Crown Capital. Back in 2016, when NSE had first attempted to go public, several well-known investors including Tiger Global, Goldman Sachs, Citigroup and other institutional shareholders were expected to dilute part of their stakes through the offering. To manage the IPO process, NSE appointed 20 merchant bankers in March 2026, including leading financial institutions such as Kotak Mahindra Capital, JM Financial, Axis Capital, IIFL Capital Services, Motilal Oswal Investment Advisors, ICICI Securities, SBI Capital Markets, Nuvama Wealth Management, HDFC Bank, Avendus Capital, Morgan Stanley India, Citigroup Global Markets India, J.P. Morgan India, HSBC Securities and Capital Markets India, IDBI Capital Markets & Securities, 360 ONE WAM, Anand Rathi Advisors, DAM Capital Advisors, Pantomath Capital Advisors, and Equirus Capital.
Earlier in January 2026, NSE had received a no-objection certificate (NOC) from SEBI for the listing process, marking a significant regulatory milestone. The exchange has also appointed eight legal advisors for the IPO, including Cyril Amarchand Mangaldas, Khaitan & Co, Latham & Watkins LLP, Sidley Austin Singapore, AZB & Partners, S&R Associates, Shardul Amarchand Mangaldas & Co, and Trilegal. Other intermediaries include MUFG Intime India, Makarand M Joshi & Company, Manian & Rao, RBSA Advisors, Concept Communication, and Redseer Strategy Consultants. Rothschild & Co India, which acted as the process advisor for selecting IPO intermediaries, has completed its mandate. The IPO is being closely watched as NSE's earlier listing attempt in 2016 was shelved following the co-location controversy, when the exchange had reportedly planned to raise around ₹10,000 crore through an OFS of nearly 23% by existing shareholders.
